The profit motive is a great thing in the right industry.
But long ago we worked out that education wasn’t one of those industries. There is no profit motive driving school education in Australia.
Private schools in Australia are non-profit. They are run by school boards that are supposed to be focused on providing the best education for their students.
How does the government keep the for-profit sector out of school education? A for-profit school is ineligible for government funding.
We need to do the same for childcare.
The only priority of childcare providers should be the children in their care. They should not be distracted by the idea of keeping their shareholders happy.
The government is rushing its childcare changes through Parliament. It will use threats of funding cuts to ensure improvements to safety standards.
It’s a good move. Money talks in this industry.
But the heartbreaking stories out of Melbourne in recent weeks, which are driving these changes, could be a catalyst for significant long-term change.
Australia’s childcare industry is dominated by for-profit providers. They make up 70 per cent of the childcare industry, and 95 per cent of the growth in the industry is in the for-profit centres.
The expansion of government subsidies means that a childcare centre in the right urban location is a licence to print money.










